Australian HR Technology Report

The team at Navigo, distributors of OrgPlus, have released their 2010 reasearch report into HR technology usage by larger organisations in Australia, you can get your copy of the report at http://hrtechreport.com.au.

The report is an interesting read focusing more on organisation’s satisfaction with their solutions than looking at overall trend in usage. Having said that the team at Navigo have been able to extrapolate 8 key conclusions and recommendations:

  1. HRIS use in Australia is diverse
  2. Technology-based solutions are more satisfactory
  3. Organisations satisfied but rarely “very satisfied” with systems
  4. HR targets efficiency in drive towards strategy
  5. Reducing costs is not a motivator despite the GFC
  6. Organisations are ill-prepared for an aging workforce
  7. True business intelligence is elusive
  8. No one size fits all

From my work and research I agree with every one of these conclusions.

I do not 100% agree with their breakdown of the solutions areas as they are more heavily weighted in the area of talent management, at the expense of other areas. However given the importance of talent management focusing more on this area makes sense given the confusing that exists within most HR departments on what HR technology they are running.

Some stand out pieces of information.

SAP and Chris 21 stand out as the top two HRIS vendors used in the organisations with 500 and above employees. Interesting Neller, who was recently acquired by Northgate Arinso was 5th.

The biggest motivator for improving HR Systems and Technology is still reduce time spent on administration and increase efficiencies. I say still as from my experience has been the number one of two for many many years. One has to wonder about the success of all of the recent projects to implement Employee and Manager Self Service the number one way to drive these two objectives.

PageUp People, PeopleStreme and Successfactors are the most popular systems being referenced as supporting Performance Management processes.

Australian Vendors fail with RSS

01_01I was updating my feeds today and decided I had better add the news/press/media release for a number of local vendors. I had not done this earlier as last I had looked most did not provide RSS feeds, I had hoped this situation had changed.

Unfortunately I was wrong.

Of the 12 vendors I check before writing this post only 1 provided RSS for news updates and this was provided through a blog as their news source. Most had some form of email news/newsletter service.

The vendors without RSS news updates are:

The only vendor with RSS?

I just picked this list at random to add, they range in size and scope, and are a mix of recruitment,talent management and HR/Payroll software providers.

Lucky Google Reader now has the ability to create a feed from a static HTML page so I can sort of subscribe to the vendors updates via my RSS reader.

Magicality of a Gartner Magic Quadrant

Ok magicality may not be a real word but who cares.

Being in the magic quadrant for a vendor can make or break them in the sales process as so many people place so much emphasis on these results. As such Gartner released the 2009 eRecruitment Magic Quadrant last week with some interesting results.

eRecruitment-magic-quadrant_Dec_2009

Firstly Taleo is an outright leader, which should come as no surprise, but the real interesting parts of the Magic Quadrant (MQ) are with the other vendors.

  • StepStone has moved well and truly into the MQ, and are joined by PeopleClick.
  • Bernard Hodes Group has fallen out of the visionaries quadrant back into the niche market
  • The large ERP vendors remain high in the ability to execute attributes but still lack the visionary attributes of a Taleo or Kenexa .
  • For the first time an Australian vendor is listed, PageUp People , congratulations to Karen and her team.
  • Both Kronos and Mr Ted have moved up the ability to execute stakes which is good.

If you want some ideas about what to do with the information head over to the Human Capitalist for some recommendations.

Sources of Talent in Australia

Back in April I had one of my many wild ideas, undertake a sources of hire survey for Australia, I mean how hard can it be?

The idea was triggered by a post from Phillip Tusing from Destination Talent so after chatting over a few days we decided to join forces and get a survey done.

The decision to do something was easier than the process.

We site up a site and grabbed a domain name, http://talentsource.com.au/, it took about 6 weeks to draw up the survey and lock in some sponsors. We ran the survey for about 5 weeks, receiving 409 completed responses. Then we started the report portion, I had thought would be easy but how wrong was I. It has taken about 6 or 7 weeks to get the report done, and I have to say without the tremendous work by Phillip it would have taken a lot longer. In fact I want to publically thank Phillip for his work in pulling the report together.

As mentioned 409 organisations of varying sizes, industry backgrounds and regional locations completed the survey. A total of 92,136 hires were recorded using seventeen identifiable sources of talent for the period July 2008 through to June 2009.

The key findings of the report include:

  1. Source of talent varies across Australia with seventeen identifiable source of talent.
  2. Job boards, in their various iterations, take a leadership role being the predominant source of talent in Australia with 29.64% of hires attributed to them.
  3. Perceptions of the most effective sources of talent by recruiters differ from the reality of where talent is sourced.
  4. Different industries use significantly different sources to find talent within Australia.
  5. The different regions of Australia also seem to source talent differently, for example in the ACT 49.70% of talent is found through internal recruiters.
  6. Referrals as sources are not as developed as expected being only the fourth most successful source at 7.57% of hires.
  7. Print media while having a reputation of an archaic channel still exists as the seventh most successful source of hires.
  8. Employers and agency recruiters differ in how they source talent with agency recruiters relying heavily on job boards.
  9. Social media is in its infancy ranking last as a source talent in Australia, with usage higher in smaller organisations.
  10. Data collection is poor with over 7% of organizations have no reliable method of tracking their source of talent.

We are also indebted to Gerry Crispin for providing a comparison to US figures and Dr Ian Williamson for his insights into retention and alumni programs.

There is a lot more in the report so go download it and have a read, we hope that the report stimulates further discussions within the HR and Recruitment industries.

PageUp People: Integrated Talent Management

What is Integrated Talent Management (ITM)?

Well that was the question posed at this morning’s breakfast briefing session run by PageUp People to launch their new white paper, “ITM – The Evolution”. Their answer:
Workforce
Credit: Lumaxart

ITM leverages the same data, process, workflow management, security model, user portals, and reporting and analytics tools across all applications.

My answer would be very similar.

The white paper quotes heavily from people such as Thomas Otter, Jim Holincheck, CedarCrestone and Leighanne Levensaler with PageUp People offering their own conclusions on the research which in turn lays out a product roadmap for the PageUp People platform.

Within the white paper reference is made to three stages of ITM evolution:

  • Stage 1 – Today, multiple vendors, disconnected systems, a lack of analytics, and limited executive buy-in.
  • Stage 2 – Reduced number of vendors as each widen the breadth and depth of their offerings, tighter integration, initial workforce analytics, and growing executive buy-in.
  • Stage 3 – The holy grail a fully integrated talent management platform with predictive analytics and high levels of executive buy-in.

What stood out to me was the strong emphasis being placed on workforce analytics, the topic for the rest of this post, as a key indicator of a stage 3 ITM environment.

For well over a decade workforce analytics have been discussed and predicted to come of age many times, and again we have a major talent management vendor still predicting that workforce analytics is in the future! So when will the future become today?

Over the years workforce analytics has been a keen interest of mine, in 2004 I co-presented on the topic and AHRI’s HR Week. During the presentation I referenced work conducted by the Butler Group in 1995 on the issues around data warehousing little things such as; Availability, Understanding, Accurate, Consistent and Predictability, and Privacy. I firmly believe many of these issues need to be resolved before any form of workforce analytics can be confidently undertaken by an organisation.

My co-presenter 5 years ago John Macy referenced work from the Meta Group in 2000 on the 5 categories of workforce information management, the top level being predictive modelling! John went on to discuss trends from the Meta Group, which had vendors incorporate contextual analysis into their products by 2005 and in 2006/7 Leading organisations will develop & fine tune predictive models. I guess the Meta Group was wrong!

Now back to talent management, last year Dr John Sullivan discussed why Talent Management Analytics is still failing, I added my two cents worth as well. Let’s look at Dr John’s list again:

  1. HR Skill deficiency
  2. Lack of business knowledge
  3. Expensive tools limiting deployment
  4. Lack of quality data
  5. Complicated nature of talent management
A system will not solve all the items on this list, other than item 3. This point was emphasised in the PageUp People white paper when they looked at the People and Process implications. A broader organisational change activity is required to succeed in a strategic context with workforce analytics.

Do you know the Australian Sources of Talent?

Over the last couple of months I have been working with Phillip Tusing from Destination Talent to look at the most successful channels for finding talent in Australia. Our initial thought was how hard could it be to pull a survey together and send it to a few people. We were a little mistaken, but finally the survey is ready.

I am very happy to announce the launch of Australia’s first Source of Talent Survey!

If you’d like to contribute to this, as well as receive a free advance copy of the report, click here to begin our short online survey (it takes less than eight minutes to complete). You’ll also go into a draw to win a Nintendo Wii or one of five book vouchers.

While there are international results on sources of hire by Gerry Crispin we are very interested to see the results from Australian organisations. For example, do Australian organisations collect this information, if so what systems do they use, and are they experimenting with social media as a source of talent.

This is a joint project between myself (Inspecht) and Phillip Tusing from Destination Talent, with support from our sponsorship partners: JobAdder, JobGenie, PageUp People and PeoplePulse.

To find about the survey and the report visit our microsite http://talentsource.com.au for more information.

Sponsors


ATC Summary

Over the last few days I have published a number of posts summarising the sessions at ATC that I attended. However I wanted to pull together an overall summary of my thoughts from the event. This was my first ATC, mainly as I had now been in the position to attend before due to my previous corporate life which was a pity as I think attending in previous years would have been good. Well no point looking back let’s look forward.

First question was ATC worth the money? Yes. Even in the light of this GFC thing.

So what did I get out of the event to justify my expense?

  • Attending the sessions, while not all were good I took something from most of them. I could not say which was the best session, they were all different.
  • Meeting other Australian commentators such as Phillip Tusing, Jo Knox for the first time.
  • Catching up with Russell Kronenburg from Pacific Brands over lunch on the first learning in detail about some of their social media activities. They are doing awesome stuff!
  • Hallway time with the US speakers, most of whom I had never met in person, such as Master Burnett, Dr John Sullivan, Kevin Wheeler, Gerry Crispin, Charles Handler, and Sue Polo.
  • Having several business, dinner and social engagements organised with Master Burnett, Kevin Wheeler and Gerry Crispin for when I am in San Francisco for the Social Recruiting Summit next month. None of which would have been possible without ATC.
  • Catching up with locals like Riges Younan, Ross Clennett, Phillip Tusing, and the boys from Happener.
  • Meeting Belinda and Danielle from Buchan and chatting about marketing and PR, Daneille joined a number of us for dinner one night.
  • Meeting the Deloitte’s team (James Elliott and Tanyth Lloyd) and many other Australian organisations who are doing exciting things.
  • Chatting with Karen Cariss and Simon Cariss from PageUp People, Simon for the first time.

So as normal with these types of events, the sessions are good but it is the networking that makes it valuable.

If you are in any form of talent management, sourcing or a corporate recruiter and you did not attend shame. For transactional 3rd party recruiters I can see limited value, but if you are a 3rd party recruiter who wants to be ahead of the competition again shame you did not attend.

Another final comment there were several sponsor sessions most were traditional let’s try and sell you on our product. The PageUp session was different. PageUp approached their slot with an attitude of let’s inform the audience about something, virtually unrelated to their product but important to the audience, Twitter. The result was after the session their stand was the busiest of any of the stands over the two days, other than Hudson where we all went for good coffee.

Next Year: Yes.